Developer Turnover and Information Disclosure in Utah

Question:

Are there provisions in Utah statute pertaining to association board governance? Our association is dominated by a developer, has never turned over the HOA to the association members, does not provide minutes of meetings and will not disclose who is on the board, there being no board election. It is everything that argues for stronger legal HOA laws.

– William

 

Answer:

Hi William,

According to the Utah Community Association Act Section 57-8a-502(1), unless otherwise provided in the governing documents, the period of developer control should stop on the first to occur of the following:

  • 60 days after 75% of the lots that may be created are conveyed to lot owners other than a declarant;
  • seven years after all declarants have ceased to offer lots for sale in the ordinary course of business; or
  • the day the declarant, after giving written notice to the lot owners, records an instrument voluntarily surrendering all rights to control activities of the association.

If one of these conditions are met, the developer should turn over control to the homeowners. You may raise this with the developer. As for examining the minutes and the list of board members, according to Section 57-8a-227(2)(a)(i), the association should make these records available to the lot owners. You may also raise this with the developer. For further guidance, kindly consult a lawyer.

 

Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.

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